Nearly three in 10 childcare programs in the state expect to close after federal grant funding expires this June, according to a poll of more than 1,500 centers by the North Carolina Child Care Resource and Referral Council.
The federal funding comes from the 2021 American Rescue Plan Act, which provided millions of dollars of support to more than 4,000 childcare facilities in North Carolina. Childcare centers used those funds to keep parents’ costs low while increasing staff pay.
With the June deadline looming, many facilities are considering raising tuition, cutting staff, or even shutting down altogether.
Dr. Kristi Lee Snuggs is the director of the NC Child Care Resource and Referral Council, which conducted the poll.
"The bottom line is it's going to cost families a lot more," she said. "Most families are already paying between 30% — to even up to 70% — of their income on childcare."
Snuggs says childcare is a tenuous business, even before the pandemic. She and childcare advocates are now calling on Congress to extend funding and make a long-term commitment to subsidize childcare for working families.
